Small Business Bartering Grew During Pandemic

According to BizX, the barter exchange platform, more and more businesses are opting towards creative ways to solve the issue of cash flow by trading in services and products rather than transacting in cash. The trend seems to have grown in popularity among small businesses as they seek to find creative means to remain afloat during the COVID-19 pandemic.

Since the start of the outbreak, BizX saw its membership grow by 265 members who had recognized the benefits of bartering. This led to its community transacting approximately 13 million BizX dollars, the currency of the exchange.

BizX Bartering Community

• BizX currently has nearly $10 million in lines of credit outstanding to its members. All approved lines of credit have 0% interest since the beginning of COVID-19.
• Among the transactions, more than 1 million of these BizX dollars transacted since the beginning of the pandemic came from restaurants. This is due to the new circumstances of operating a restaurant. This includes materials needed for outdoor dining, as well as Personnel Protection Equipment (PPE), which saw a sharp rise since March 2020.•
• BizX and its members raised nearly $180,000 through its sponsorships and charitable giving arm throughout the year to 16 different charities. This includes Habitat for Humanity, Food Lifeline and Russell Wilson’s Why Not You Foundation.
• Fearey, a Seattle-based public relations firm, used BizX to connect its employees through different levels of team-building exercises orchestrated by Geoteaming.

How it Works

Founded after 9/11 BizX helps businesses to connect by providing its platform to trade what they have to get what they need. The goal is to free up cash flow.

A purchasing member’s account is debited and the seller’s account is credited. The transaction details recorded in BizX and represented in both the members’ account statements.

Transactions use BizX dollars. The value of the BizX dollar is the same as the U.S. dollar. You can make payments on the market place, in-location, through the BizX mobile application or on the BizX Point of Sale web-based terminal.

Image: bizx.com

This article, "Small Business Bartering Grew During Pandemic" was first published on Small Business Trends